Accounts audited in a prescribed manner. - Income Tax - 1169/CBDT

INSTRUCTION NO. 1169/CBDT Dated : May 4, 1978 Section(s) Referred: 142(2A) Statute: Income - Tax Act, 1961 According to sec.142(2A) by Taxation Laws Act, the ITO has been empowered to direct an assessee, in a case where the nature and complexity of the accounts and the interests of revenue so require to get his accounts audited in the prescribed manner. Such a direction can however be issued only with the prior approval of the CIT. 2. A question has been raised whether copies of the proposal submitted by ITO and approval accorded by the CIT can be made available to the assessee on his request. While considering similar question where the assessee wanted to obtain copies of the reasons recorded by the ITO for initiating proceedings u/s.151(2) on the proposal submitted to him, the Supreme Court in the case of Narayanappa Vs. Commissioner of Income-tax (63-ITR-219-SC) has held that the assessee is not entitled to get the copies of the reasons recorded by the Income-tax Officer of the C.I.T's satisfaction u/s 151(2) of the Act. On the same analogy, the Board considers that the assessee is not entitled to get the copies of proposal submitted u/s 142(2A) by the Income-tax Officer and approval accorded by the Commissioner of Income-tax under the same section.